TaxTMI 
TaxTMI 
2018 (1) TMI 712
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....ntral Excise Act, 1944, pursuant to the stay order No. 86/98 dated 10.03.1998 passed by the Commissioner of Central Excise (Appeals). The appeal was decided in their favour by the Ld. Commissioner (Appeals) on 06.01.2000 by remanding the matter to the adjudicating authority to re-quantify the demand in accordance with the principle of law laid down by the Tribunal. The appellant thereafter filed refund of Rs. 5.00 Crores on 20.10.2003. The adjudicating authority sanctioned the refund claim of Rs. 5.00 Crores and refunded an amount of Rs. 2,77,94,715/-, but adjusted the balance amount of Rs. 2,22,05,285/- against another confirmed demand upheld by the Ld. Commissioner (Appeals) by order dated 18.01.2001. The appellant filed an appeal before ....
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....em i.e. 19.01.2004 and on the refund amount of Rs. 1,80,03,202/-,interest would be admissible till the same was refunded to them i.e. 01.04.2014. The Ld. Advocate referring to CBEC Circular Nos. 670/61/2002-CX dated 01.10.2002&802/35/2004-CX dated 08.12.2004 has submitted that in the said Circular, it has been categorically directed that the authorities to ensure the amount deposited should be refunded within three months from the disposal of the appeal in assesses favour. It is her contention that as on 06.01.2000 itself, the issue for which pre-deposit of Rs. 5 Crore made before the Ld. Commissioner(Appeals) has attained finality and in spite of the Circular issued by the Board and principle of law laid down in this regard,the refund has ....
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....d claim was actually filed on 20.10.2003 and was sanctioned to them on 14.01.2004 i.e. within three months from the date of filing of the refund application. It is his contention that in the Circular dated 02.01.2002, regulating sanction of refund of pre-deposit, the Board has clarified that a simple letter from the person who has made such deposit, with a request to return the amount, along with an attested copy of the order-in-appeal or order of CEGAT and relevant challans, be addressed to the concerned Assistant Commissioner of Central Excise and Customs, and it would suffice the purpose. Since the appellant has not filed any claim, therefore interest on the said amount cannot be allowed after expiry of three months from 24.01.2000 till ....
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.... of Rs. 2,77,94,715/- to the appellant and adjusted the remaining amount of Rs. 2,22,05,285/- against outstanding demand confirmed in the Appellate proceeding by the Ld. Commissioner (Appeals) in some other issues vide order dated 18.01.2001. The dispute of adjustment of the amount of Rs. 2,22,05,285/- ultimately decided in the favour of the appellant on 01.01.2014 where under they become eligible to refund of Rs. 1,80,03,202/- and the refund was ultimately sanctioned to them on 01.04.2014. Objection of the Revenue is two fold against the aforesaid claims of interest. The department objected to the claim of interest for the period 20.04.2000 till 19.01.2004 on the amount of Rs. 2,71,94,715/- on the ground that after expiry of three months f....
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....ble Supreme Court resulted in its dismissal on 28.07.2015. consequently, the assessee filed an application on 01.10.2015 seeking refund of the pre-deposit amount of Rs. 1,15,15,214/-. Even though the department sanctioned the refund claim but not paid the interest as the said amount was sanctioned within three months from the date of the order of the Hon'ble Supreme Court. Considering similar line of arguments advanced and interpreting the CBEC Circulars dated 01.10.2002 and 08.12.2004, the Hon'ble High Court has observed as follows: "Therefore on an appreciation of the notifications, it is unequivocally clear that the petitioner is entitled to get refund of the amount within a period of three months of the disposal of the appeals in the ....